An investigation will be conducted concerning the procurement of goods and services related to the 52nd Asian Development Bank Annual General Meeting held in 2019, focusing on potential material mismanagement within the Ministry of Civil Services.
During a session in Parliament, Esrom Immanuel, the Chair of the Standing Committee on Public Accounts, proposed a discussion on the review of a special investigation report regarding the procurement practices linked to the ADB meeting.
The Ministry of Civil Service was tasked with organizing the international event, which saw participation from over 3,000 attendees across 76 countries. The previous government allocated $10 million for the event; however, the total expenditure reached $10.9 million, raising concerns about financial transparency and fund management.
The Assistant Minister for Finance stated that the Auditor General’s report, which initiated the investigation, points out several serious issues, including potential fraud, breaches of financial regulations, and conflicts of interest in vendor selections. He noted that the Auditor General’s Office identified sufficient evidence of fraudulent transactions in various payments.
Immanuel mentioned that the investigation found delays in contract processing for the major event and highlighted inefficiencies in fund management. He expressed that while the investigation and necessary reforms are critical, the report’s release was considerably delayed, as it was completed in December 2020 but only presented to Parliament in May 2023.
He stressed the importance of this investigation in fostering reforms and called for ongoing oversight to prevent future mismanagement of public funds. Speaker Ratu Naiqama Lalabalavu invoked Standing Order 20 to refer the matter to the public accounts sub-committee for further investigation, and the report from that sub-committee is now anticipated.